Public Works Agency
www.santa-ana.org/public-works
Item # 11
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
January 16, 2024
TOPIC: OC Streetcar Operations and Maintenance Cooperative Agreement
AGENDA TITLE
Cooperative Agreement with the Orange County Transportation Authority for the Operations and Maintenance of the OC Streetcar System (Non-General Fund)
RECOMMENDED ACTION
Authorize the City Manager to execute a cooperative agreement with the Orange County Transportation Authority (OCTA) for the Operations and Maintenance of the OC Streetcar System for a term beginning on the effective date of this agreement for a period of 50 years, with an optional 20-year extension at the discretion of OCTA (Agreement No. A-2024-XXX).
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
On July 7, 2015, a Memorandum of Understanding (MOU) was approved by City Council with the Orange County Transportation Authority (OCTA) for implementation of the OC Streetcar Project (Project). The MOU outlines the general roles and responsibilities for the development, implementation, operations, and maintenance phases of the Project between the City of Santa Ana and OCTA, and sets the framework for additional detailed agreements for the Design, Use of Right-of-Way, Construction, and Operations and Maintenance of the Project.
Since the approval of the MOU, the City Council has approved the following subsequent Streetcar agreements:
•Design Cooperative Agreement was approved on March 15, 2016 and defines the roles and responsibilities for design and preparation of construction documents for the Project.
•Use of Right-of-Way Cooperative Agreement was approved on February 7, 2017 and specifies the limits of use and the City’s and OCTA’s roles, responsibilities, and commitments as they relate to OCTA’s facilities in the public right-of-way. •Construction Cooperative Agreement was approved on April 4, 2017 that establishes the roles and responsibilities of the City and OCTA for construction phase of the Project.
OC Streetcar Operations and Maintenance Cooperative Agreement January 16, 2024
3 9
6 2
The final agreement for the Project is the Operations and Maintenance Cooperative Agreement. This agreement must be in place in advance of the construction phase being complete to allow OCTA and the City time to prepare for the operation of the OC Streetcar System. The Project is approximately 80% complete as of the end of the last quarter. City and OCTA staff have reached consensus on the specific terms and conditions of the proposed agreement within the framework established by the approved MOU agreement. A summary of the key provisions of the proposed Operations and Maintenance Cooperative Agreement are as follows:
General
The proposed agreement establishes the roles, responsibilities, and commitments for system operations and maintenance of the OC Streetcar System (System). OCTA is responsible for operating and maintaining the System and Streetcar infrastructure; the City is responsible for maintaining City infrastructure. •The term of this agreement is for 50 years, with a 20-year extension at the discretion of OCTA. Further extensions are allowed upon mutual agreement. •Agreement may be terminated as follows:
oCity may terminate at end of the agreement term if OCTA abandons the portion in City Right-of-Way, OCTA disavows use rights in the Use of Right-of-Way agreement, or if the System discontinues operation for a consecutive period of one year.
oOCTA may terminate if the System is determined to not be a viable mode of transportation due to lack of passengers, revenue, or funding.
Financial
OCTA is responsible for the payment of all operating costs of the System. As agreed to in the original MOU agreement, the City is responsible for ten percent (10%) of the annual sum of operating costs less any fare-box revenue upon the start of service. The City’s share of annual operating costs is estimated to be $1 million.
Operations
The proposed agreement outlines assumptions, roles, responsibilities, and commitments related to the operational elements of the System, including, but not limited to, the following:
•Train/traffic signal coordination
•Traffic signal timing and prioritization
•Data collection and system monitoring
•Community relations
•Advertising/ridership enhancement
•Third-party permits
•Special event coordination and operation
•Emergency procedures
•System security
OC Streetcar Operations and Maintenance Cooperative Agreement January 16, 2024
3 9
6 2
Maintenance
The proposed agreement outlines assumptions, roles, responsibilities, and commitments related to the maintenance of elements of the System and infrastructure in the public Right-of-Way, including, but not limited to, the following:
•Track
•Signaling, control, and communications
•Platforms
•Traction power system
•PE right-of-way
•Maintenance and storage facility
•System structures
•Roadway infrastructure
•Street lighting
•Trees
•Landscaping and irrigation
•Graffiti
•Santa Ana Regional Transportation Center site improvements The proposed agreement establishes a track access permit system, as required by the California Public Utilities Commission (CPUC), to provide controlled access to the areas containing the System for both agencies and third party permittees The City and all third parties must secure a permit from the OCTA when working within the OCTA's controlled work access limits, generally 10 feet from the overhead contact system (poles, span wires, and contact wire) and within 4 feet of any rail. The City and OCTA agree to keep each other informed about future projects that may impact the others' use of the right of way.
Staff recommends that the City Council approve the proposed OC Streetcar Operations and Maintenance Cooperative Agreement with OCTA. The proposed agreement is the final, culminate agreement in a series of OC Streetcar Project agreements, and is in conformance with the previously approved MOU agreement and related subsequent agreements.
FISCAL IMPACT
Approval of this item does not affect current fiscal year budget. The City is not obligated to pay its share of operating expenses until the OC Streetcar is operational and servicing the public. OCTA estimates that the OC Streetcar may begin service in Fiscal Year 2024-25. As part of the normal budget processes, staff will include the estimated expenditure in the future Fiscal Year 2024-25 General Fund budget for City Council consideration.
OC Streetcar Operations and Maintenance Cooperative Agreement January 16, 2024
3 9
6 2
EXHIBIT(S)
1. Operations and Maintenance Cooperative Agreement
Submitted By: Nabil Saba, P.E., Executive Director – Public Works Agency Approved By: Tom Hatch, Interim City Manager